Finding Text
Finding Type: Significant Deficiency
Condition: Our audit found that JTCHS did not have adequate internal controls to ensure compliance with the
federal procurement requirements. Specifically, JTCHS's procurement policies did not set a simplified acquisition
threshold that was compliant with federal requirements.
Criteria: Per 2 CFR 200.318(a), General Procurement Standards, “The non-Federal entity must have and use
documented procurement procedures consistent with State, local, and tribal laws and regulations for the acquisition
of property or services required under a Federal award or subaward. The non-Federal entity's documented
procurement procedures must conform to the procurement standards identified in §§200.317 through 200.327.
Cause: JTCHS was not aware that its formal written procurement policy was not in compliance with the federal
guidelines.
Effect: JTCHS was not in compliance with Federal requirements relating to procurement policy.
Recommendation: JTCHS should review federal procurement guidelines and revise its procurement policy to be in
compliance with the federal procurement guidelines.
Responsible Official’s Response: Management will review adopt a procurement policy in accordance with the
Uniform Guidance.
Planned Implementation Date of Corrective Action Plan: Management has started revising its policy and expects to
have a revised procurement policy during fiscal year ending January 31, 2024.